What do I need to know about Vrbo and taxes?

The information in this article is relevant only for Guesty Lite users who started connecting Vrbo before 19 Feb 2024 and for Pro users.

Once taxes are set up in Guesty on your account (Pro users only) or an individual listing, they are synced to Vrbo. The following information should be noted when setting up your taxes:
  • All invoice items are taxable.
    • Instant book reservations: If an additional invoice item is added, the total tax will be recalculated to include the new item.
    • Non-instant book reservations will follow the tax configurations in Guesty.
  • Vrbo supports only "Per night" and "Per stay" quantifiers when adding a percentage tax.
  • When a percentage tax is added and applied only to the "Accommodation fare" in Guesty, it is displayed in Vrbo as applied to the accommodation fare as well as any existing fees. This happens regardless of the chosen quantifier - "Per night" or "Per stay". In Guesty, this tax will apply only to the accommodation fare.
  • Tax conditions do not apply to reservations made through booking channels, and “Length of stay” conditions are not supported for Vrbo. If a reservation came from Vrbo with a “Length of stay” condition of 29 or more nights, taxes will still apply to the reservation.

Note:

Vrbo collects and remits taxes in the United States (in all states). However, Vrbo users who are integrated with third-party software such as Guesty are the merchant of record, and as such, they collect the payments. Vrbo will only collect the service fee in these cases.

Taxes that are supported by Vrbo and synced

  • City tax
  • Goods and services tax
  • Local tax
  • Tourism tax
  • VAT
  • Other tax

Taxes that are not supported by Vrbo and not synced

  • State tax
  • County tax
  • Occupancy tax
  • Transient occupancy tax
  • How sharing tax
  • Harmonized sales tax
  • Minimum alternate tax
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